25) An unfavorable variance may be due to poor planning rather than due to inefficiency.
Diff: 2Terms: unfavorable varianceObjective: 1AACSB: Communication26) Explain the difference between a static budget and a flexible budget. Explain what is meant by a static budget variance and a flexible budget variance.
Diff: 2Terms: static budget, flexible budgetObjective: 1AACSB: Reflective thinkingObjective 7.21) The flexible budget contains: A) budgeted amounts for actual output B) budgeted amounts for planned output C) actual costs for actual output D) actual costs for planned output Answer:
ADiff: 1Terms: flexible budgetObjective: 2AACSB: Reflective thinking2) The following items are the same for the flexible budget and the master budget EXCEPT for:
CDiff: 2Terms: flexible budgetObjective: 2AACSB: Reflective thinking8